It’s no secret that many mining companies are thriving at the moment, as a weak dollar and the prospect of inflation attract investors to precious metals.
Prices for commodities typically rise when the dollar falls and fall when the dollar rises. So metals make a steady investment during the recession.
In light of this, the share price of Canadian-based Taseko Mines Ltd (AMEX: TGB) has risen steadily this year. From a price of $1.50 per share in June, it hit a 52-week high of $3.59 this week. And buying intensity has grown with the company’s recent sale of mining assets.
Earlier this week, Taseko announced sale of 25% its stake in its wholly owned copper-molybdenum mine in Gibraltar. Japanese trading house Sojitz Corp paid $170.5 million for its part in the project, with the deal set to take effect early 2010.